HomeMy WebLinkAbout2000-02-08 - AGENDA REPORTS - PROP 26 FIX SCHOOLS (2)AGENDA REPORT
City Manager Approval
Item to be presented b Maria Rountree
CONSENT CALENDAR
DATE: February 8, 2000
SUBJECT: PROPOSITION 26 "LET'S FIX OUR SCHOOLS INITIATIVE"
DEPARTMENT: City Manager
RECOMMENDED ACTION
Adopt resolution of support.
BACKGROUND
The League of California Cities has requested that the City of Santa Clarita support Proposition
26. This measure changes the State Constitution to lower the voting requirement for passage of
local school bonds from two-thirds to a simple majority (50%+1), to apply only if the local bond
measure presented to the voters includes:
• A requirement that the bond funds can be used only for construction, rehabilitation,
equipping of school facilities, or the acquisition or lease of real property for school
facilities; and
• A specific list of school projects to be funded and the school board certifies it has
evaluated safety, class size reduction, and information technology needs in developing
the list; and
• A requirement that the school board conduct annual, independent financial and
performance audits until all bond funds have been spent to ensure that the bond funds
have been used only for the projects listed in the measure.
The local school jurisdictions affected by this proposition are K-12 school districts, community
college districts, and county boards of education.
Since 1996, districts have received state funding to help reduce class sizes to no more than 20
students in primary grades. The funds paid for more teachers, but the facilities were not
adequate. Proposition 26 would allow voters to approve the money schools need to accommodate
smaller classes.
iYo'I'` dups• Item: -9-
ALTERNATIVE ACTIONS
1. Oppose Proposition 26.
2. Remain neutral.
3. Other actions as determined by Council.
FISCAL IMPACT
Impact on state costs is unknown, although there may be longer-term state savings to the extent
local school districts assume greater responsibility for funding school facilities.
Government fiscal impacts include increased debt costs for local school districts to pay off the
bonds, which would vary by individual district. The magnitude of these local costs is unknown,
but on a statewide basis could be in the hundreds of millions of dollars annually within a decade.
ATTACHMENTS
Resolution of support for Proposition 26.
Full text of Proposition 26 — available in City Clerk's Reading File.
MLR:=
S,.\MS\CCAGENDA\2 S 00\CCPRP26.DOC
CA Secretary of State - Primary Election 2000 - Text of Proposition 26, Page 1 of 6
Proposition 26 1 Vote 2000 Home I Ballot Pamphlet Home I Next - Prop 271 Secretary of State Home
School Facilities. Local Majority Vote.
Bonds, Taxes. Initiative Constitutional
Amendment and Statute.
Text of Proposition 26
This initiative measure is submitted to the people in accordance with the provisions of
Section 8 of Article H of the California Constitution.
This initiative measure amends the California Constitution and the Education Code;
therefore, existing provisions proposed to be deleted are printed in
BOLDEWUNDERLINED type and new provisions proposed to be added are printed in
italic type to indicate that they are new.
PROPOSED LAW
THE MAJORITY RULE ACT FOR SMALLER CLASSES, SAFER SCHOOLS, AND
FINANCIAL ACCOUNTABILITY
SECTION 1. TITLE
This act shall be known as the Majority Rule Act for Smaller Classes, Safer Schools, and
Financial Accountability.
SEC. 2. FINDINGS AND DECLARATIONS
The people of the State of California find and declare as follows:
(a) Investing in education is crucial if we are to prepare our children for the 21st century.
(b) We need to make sure our children have access to the learning tools of the 21st
century like computers and the Internet, but most California classrooms do not have
access to these technologies.
(c) We need to build new classrooms to facilitate class size reduction, so our children can
learn basic skills like reading and mathematics in an environment that ensures that
California's commitment to class size reduction does not become an empty promise.
(d) We need to repair and rebuild our dilapidated schools to ensure that our children
learn in a safe and secure environment.
(e) Students in public charter schools should be entitled to reasonable access to a safe
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and secure learning environment.
(f) We need to give local citizens and local parents the ability to build those classrooms
by majority vote local elections so each community can decide what is best for its
children.
(g) We need to ensure accountability so that funds are spent prudently and only as
directed by citizens of the community.
SEC. 3. PURPOSE AND INTENT
In order to prepare our children for the 21st century, to implement class size reduction, to
ensure that our children learn in a secure and safe environment, and to ensure that school
districts are accountable for prudent and responsible spending for school facilities, the
people of the State of California do hereby enact the Majority Rule Act for Smaller
Classes, Safer Schools, and Financial Accountability. This measure is intended to
accomplish its purposes by amending the California Constitution and the Education
Code:
(a) To provide an exception to the limitation on ad valorem property taxes and the two-
thirds vote requirement to allow school districts, community college districts, and county
offices of education to equip our schools for the 21 st century, to provide our children
with smaller classes, and to ensure our children's safety by repairing, building,
furnishing, and equipping school facilities;
(b) To require school district boards, community college boards, and county offices of
education to evaluate safety, class size reduction, and information technology needs in
developing a list of specific projects to present to the voters;
(c) To ensure that before they vote, voters will be given a list of specific projects their
bond money will be used for;
(d) To require an annual, independent financial audit of the proceeds from the sale of the
school facilities bonds until all of the proceeds have been expended for the specified
school facilities projects; and
(e) To ensure that the proceeds from the sale of school facilities bonds are used for
specified school facilities projects only, and not for teacher and administrator salaries
and other school operating expenses, by requiring an annual, independent performance
audit to ensure that the funds have been expended on specific projects only.
SEC. 4. Section 1 of Article XIII A of the California Constitution is amended to read:
Section 1. (a) The maximum amount of any ad valorem tax on real property shall not
exceed One percent (1%) of the full cash value of such property. The one percent (I%)
tax to be collected by the counties and apportioned according to law to the districts
within the counties.
(b) The limitation provided for in subdivision (a) shall not apply to ad valorem taxes or
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special assessments to pay the interest and redemption charges on many indebtedness
of the following :
(1) Indebtedness approved by the voters prior to July 1, 1978 , or (2) any bonded.
#italic#(2) Bonded indebtedness for the acquisition or improvement of real property
approved on or after July 1, 1978, by two-thirds of the votes cast by the voters voting on
the proposition.
(3) Bonded indebtedness incurred by a school district, community college district, or
county office of education for the construction, reconstruction, rehabilitation, or
replacement of school facilities, including the furnishing and equipping of school
facilities, or the acquisition or lease of real property for school facilities, approved by a
majority of the voters of the district or county, as appropriate, voting on the proposition
on or after the effective date of the measure adding this paragraph. This paragraph shall
apply only if the proposition approved by the voters and resulting in the bonded
indebtedness includes all of the following accountability requirements:
#italic#(A) A requirement that the proceeds from the sale of the bonds be used only for
the purposes specified in this paragraph, and not for any other purpose, including
teacher and administrator salaries and other school operating expenses.
#italic#(B) A list of the specific school facilities projects to be funded and certification
that the school district board, community college board, or county office of education
has evaluated safety, class size reduction, and information technology needs in
developing that list.
#italic#(C) A requirement that the school district board, community college board, or
county office of education conduct an annual, independent performance audit to ensure
that the funds have been expended only on the specific projects listed.
#italic#(D) A requirement that the school district board, community college board, or
county office of education conduct an annual, independent financial audit of the
proceeds from the sale of the bonds until all of those proceeds have been expended for
the school facilities projects.
#italic#(c) Notwithstanding any other provisions of law or of this Constitution, school
districts, community college districts, and county offices of education may levy a
majority vote ad valorem tax pursuant to subdivision (b).
SEC. 5. Section 18 of Article XVI of the California Constitution is amended to read:
SEC. 18. (a) No county, city, town, township, board of education, or school district,
shall incur any indebtedness or liability, in any manner or for any purpose, exceeding in
any year the income and revenue provided for such that year, without the assent of
unless the indebtedness or liability is approved by two-thirds of the qualified electors
thereof, voters of the public entity voting at an election to be held for that purpose,
except Drovided that with respect to any such public entity which is authorized to
incur indebtedness for public school purposes, any proposition for the incurrence
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of indebtedness in the form of general obligation bonds for the purpose of
repairing, reconstructing or replacing public school buildings determined, in the
manner prescribed by law, to be structurally unsafe for school use, shall be adopted
upon the approval of a majority of the qualified electors of the public entity voting
on the proposition at such election-, nor unless before or at the time of incurring such
the indebtedness provision shall be is made for the collection of an annual tax sufficient
to pay the interest on such the indebtedness as it falls due�and also provision to
constitute for a sinking fund for the payment of the principal thereof, on or before
maturity, which shall not exceed forty 40 years from the time of contracting the same:
provided, however, anything to the contrary herein notwithstanding, when
indebtedness.
#italic#(b) Notwithstanding subdivision (a), on or after the effective date of the measure
adding this subdivision, in the case of any school district, community college district, or
county office of education, any proposition for the incurrence of indebtedness in the form
of general obligation bonds for the construction, reconstruction, rehabilitation, or
replacement of school facilities, including the furnishing and equipping of school
facilities, or the acquisition or lease of real property for school facilities, shall be
adopted upon the approval of a majority of the voters of the district or county, as
appropriate, voting on the proposition at an election. This subdivision shall apply only
to a proposition for the incurrence of indebtedness in the form of general obligation
bonds for the purposes specified in this subdivision if the proposition meets all of the
accountability requirements of paragraph (3) of subdivision (b) of Section 1 of Article
XIII A.
#dtalic#(c) When two or more propositions for incurring any indebtedness or liability are
submitted at the same election, the votes cast for and against each proposition shall be
counted separately, and when two-thirds or a majority of the qualified electors voters,
as the case may be, voting on any one of such those propositions, vote in favor thereof,
such the proposition shall be deemed adopted.
SEC. 6. Section 47614 of the Education Code is amended to read:
47614. A school district in which a charter school operates shall permit a charter
school to use, at no charge. facilities not currently being used by the school district
for instructional or administrative purposes, or that have not been historically used
for rental purposes provided the charter school shall be responsible for reasonable
maintenance of those facilities. (a) The intent of the people in amending this section is
that public school facilities should be shared fairly among all public school pupils,
including those in charter schools.
#italic#(b) Each school district shall make available, to each charter school operating in
the school district, facilities sufficient for the charter school to accommodate all of the
charter school's in -district students in conditions reasonably equivalent to those in
which the students would be accommodated if they were attending other public schools
of the district. Facilities provided shall be contiguous, furnished, and equipped, and
shall remain the property of the school district. The school district shall make
reasonable efforts to provide the charter school with facilities near to where the charter
school wishes to locate, and shall not move the charter school unnecessarily.
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#italic#(1) The school district may charge the charter school a pro rata share (based on
the ratio of space allocated by the school district to the charter school divided by the
total space of the district) of those school district facilities costs which the school district
pays for with unrestricted general fund revenues. The charter school shall not be
otherwise charged for use of the facilities. No school district shall be required to use
unrestricted general fund revenues to rent, buy, or lease facilities for charter school
students.
#italic#(2) Each year, each charter school desiring facilities from a school district in
which it is operating shall provide the school district with a reasonable projection of the
charter school's average daily classroom attendance by in -district students for the
following year. The district shall allocate facilities to the charter school for that
following year based upon this projection. If the charter school, during that following
year, generates less average daily classroom attendance by in -district students than it
projected, the charter school shall reimburse the district for the over -allocated space at
rates to be set by the State Board of Education.
#italic#(3) Each school district's responsibilities under this section shall take effect on
July 1, 2003, or if the school district passes a school bond measure in the years 2000,
2001, or 2002, on the first day of July next following such passage.
#italic#(4) Facilities requests based upon projections of fewer than 80 units of average
daily classroom attendance for the year may be denied by the school district.
#italic#(5) The term "operating, " as used in this section, shall mean either currently
providing public education to in -district students, or having identified at least 80 in -
district students who are meaningfully interested in enrolling in the charter school for
the following year.
#italic#(6) The State Department of Education shall propose, and the State Board of
Education may adopt, regulations implementing this subdivision, including, but not
limited to, defining the terms "average daily classroom attendance, " "conditions
reasonably equivalent, " "in -district students, " and 'facilities costs, " as well as defining
the procedures and establishing timelines for the request for, reimbursement for, and
provision of, facilities.
SEC. 7. CONFORMITY
The Legislature shall conform all applicable laws to this act. Until the Legislature has
done so, any statutes that would be affected by this act shall be deemed to have been
conformed with the majority vote requirements of this act.
SEC. 8. SEVERABILITY
If any of the provisions of this measure or the applicability of any provision of this
measure to any person or circumstances shall be found to be unconstitutional or
otherwise invalid, such finding shall not affect the remaining provisions or applications
of this measure to other persons or circumstances, and to that extent the provisions of
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this measure are deemed to be severable.
SEC. 9. AMENDMENT
Section 6 of this measure may be amended to further its purpose by a bill passed by a
majority of the membership of both houses of the Legislature and signed by the
Governor, provided that at least 14 days prior to passage in each house, copies of the bill
in final form shall be made available by the clerk of each house to the public and the
news media.
SEC. 10. LIBERAL CONSTRUCTION
The provisions of this act shall be liberally construed to effectuate its purposes.
Rmposi on_26 I Voto2000Home I all
__mI Nexl__Prop,27 ISecretary_of State_Homo
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REC'E'' !E D ANMD MADE A
021 V00 MEETING
ITEM N0. 9
9
, a a h! � '..
Two-thirds bond requirement makes sens
he decades -old battle to lower the
two-thirds vote requirement to a
simple majority has resurfaced.
Once again, "simple majority" advocates
have armed themselves with the familiar
battle cry that unless the two-thirds
threshold for local school bond measures
is reduced, our existing schools will never
be repaired and much-needed new
schools will never be built. Obviously, the
failed lessons of past attempts have gone
unlearned. Otherwise, it would be
remembered that although Californians
are sympathetic toward the needs of their
local schools, they also realize these
needs can be met without lowering the
bar when it comes to raising property
taxes.
In 1883, California Gov. George
Perkins' stern warning against
unrestricted taxes moved the Legislature
to enact the two-thirds majority vote for
all local bond measures. Since then, this
protection has withstood two major
statewide ballot attempts to reduce it to a
simple majority. Most recently, a 1993
initiative appeared on the statewide ballot
that proposed to reduce the requirement.
The public responded with a resounding
no. In fact, returns from the 36th
Assembly District clearly report that 78
percent of the voters rejected it.
Some like to ignore these facts and
continue to argue that without a reduction
in the two-thirds requirement, local
schools will be imperiled. Some
especially like to point to last year's $52
million failed bond measure in the
William S. Hart Union High School
District as a prime example of the need
for lowering the threshold. I supported
this bond measure and others like it
Guest Commentary
because I believe it is important to invest
in our local schools. The Santa Claiita
Valley has demonstrated this same belief
in the past as proven in other successful
bond measures. Last year, Measure K,
Newhall School District's $35 million
bond measure, passed with a two-thirds
majority. The same holds true for other
communities throughout the entire state.
In March and June 1996, 24 of 32 school
bonds passed across the state. In
November 1995, 15 of 36 passed. Each
one was approved with a two-thirds
majority.
Despite what we sometimes hear, it is
not necessary to lower the two-thirds
threshold. Rather, it is the job of the
school district to educate the community
of its school needs in order to gamer the
support to pass local school bonds.
School bonds lose because they receive
too few votes, not because of the two-
thirds required majority! Lowering the
threshold would mean that a simple
majority (50 percent plus one) would be
able to determine that a tax be forced
upon property owners who generally
make up only a minority of voters. These
debts are often repaid over a span of 20 to
30 years. This means a new generation of
voters (and future homeowners) could
look forward to repaying a debt they were
too young to vote for in the first place.
Common sense tells us that creating su
a debt should not be easy to do.
We must also remember that !`c
school bond measure fails, there : re
alternatives. The measure can always
appear on the ballot. If it fails again,
school districts can look to other fundi:
sources. Proposition IA, the record S9
billion statewide bond measure that
passed in November 1998, created a
balanced system of financing new
schools through developer fee le,!
general obligation bonds, Mello -Roo
bonds and state bonds. It also provide -
state money to match local money ---
limited dollars that would be wise for
school districts to utilize. If a school
district is unable to raise its local shar<
may request a state hardship grant to
build a school. As a last resort, if the
runs out of money and cannot fund
approved school district projects, sct.,,
districts may increase developer ccei
finish such projects.
We must fight to maintain the n+o-
thirds threshold that has protected
property owners for over a century. Ti
is no reason to eradicate this protectic,.
simply as a result of a few failed atter„
to pass school bond measures. Ou:
communities have historically proven
genuine commitment to their local
schools and, when properly infonu c
they will continue to pass school bon,.
The two-thirds threshold strikes the b_°
logical balance between investment in
building new schools and protectin
taxpayers.
Assemblyman Geoige Ranlh'..
Pabndale represents mos,, o rlu-
Clarita Valley.